CBI's Grip on Reliance Communications: Unshaken Pillars of Reliance Power and Infrastructure

Shares of Reliance Power and Infrastructure plummeted following CBI's probe into Reliance Communications and its director Anil Ambani over a fraud case. Despite the market reaction, both companies assert that the probe has no effect on their operations or financial stability, reinforcing their independence from Reliance Communications.

In a dramatic start to the trading week, shares of Reliance Power and Reliance Infrastructure nosedived to their lower circuit limits amid an ongoing CBI investigation into Reliance Communications. The probe centers around allegations involving a Rs 2,929 crore fraud against the State Bank of India.

Plummeting 4.99 percent, Reliance Power's stock settled at Rs 46.49, while Reliance Infrastructure also slid 4.99 percent to Rs 275.05. The investigation also impacted Reliance Communications, which saw its stock fall to Rs 1.76. Despite the market turbulence, Reliance Power and Infrastructure emphasized that the probe has not impaired their business operations, financial health, or overall stakeholder interests.

Both Reliance Power and Infrastructure affirmed their legal and operational independence from Reliance Communications, underscoring that Anil Ambani has not been on Reliance Power's board for over three years. A spokesperson for Ambani categorically denied all accusations and confirmed his intent to contest them in legal proceedings. Through separate exchange filings, the companies reaffirmed that the investigation has no bearing on their governance or management.

(With inputs from agencies.)